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In an update to earlier postings on this blog, the Obama Administration was apparently persuaded by the United Steelworkers Union to impose tariffs on Chinese tires. The government invoked a "safeguard" provision in the World Trade Organization agreements in response to a surge in Chinese tire imports that were allegedly harming the US tire industry. The U.S. government announced Friday that tariffs in the amount of 35% will be imposed during the first year, 30% during the second year, and 25% during the third year. These tariff levels are significantly lower than those recommended by the U.S. International Trade Commission, which had recommended tariffs as high as 55%, but are still high enough to have an impact on the market.